Mitsubishi Heavy Industries (MHI) has announced plans to set up two new wholly owned companies to handle its shipbuilding business.
Set to be launched by early next month, the two companies will be named Mitsubishi Shipbuilding and Mitsubishi Heavy Industries Marine Structure.
The formation of the new companies will be carried out in accordance with the reorganisation of MHI’s shipbuilding business.
Once formed, Mitsubishi Shipbuilding will deal with the construction of ships that require extensive outfitting in addition to ferries, vessels used by governmental agencies, while Mitsubishi Heavy Industries Marine Structure will primarily engage in the manufacture of large ships and marine structures.
Mitsubishi Shipbuilding is expected to help MHI to consolidate the current capabilities at its various shipbuilding sites in Japan’s Shimonoseki, Nagasaki, among others.
To be headquartered in Yokohama, Kanagawa, Japan, the JPY3,000m ($26m) company will also function as an exclusive shipbuilding business.
Mitsubishi Shipbuilding will employ 900 people.
Mitsubishi Heavy Industries Marine Structure will be based in Nagasaki, Japan, and undertake the construction of large ships using the premises and workforce of the Koyagi Plant of MHI’s Nagasaki Shipyard & Machinery Works.
The JPY300m ($3m) company will also expand its business to carry out the construction of new ships operated by new fuels, as well as manufacture of marine steel structures.
Nearly 600 employees will work with Mitsubishi Heavy Industries Marine Structure.